RUSSIA’S  PLANS  AND  PURPOSES.  591 

oppose  it  ? What  has  she  to  gain  ? What  has  Italy  to  gain  by 
opposing  it  ? Nothing.  By  helping  it  ? Everything. 

While  Russia  has  kept  np  and  cultivated  good  relations  with 
her  European  neighbors,  she  has  by  no  means  failed  to  take 
advantage  of  what  has  occurred  in  the  Far  East.  The  Japanese- 
Chinese  war  offered  her  an  opportunity  to  secure  advantages  for 
herself  and  to  check  the  dominant  British  interests,  which  she 
has  in  no  way  neglected.  Her  relations  with  Japan  are  good. 
Corea  she  looks  to  as  the  future  site  of  cotton  manufacturing, 
with  advantages  superior  to  any  that  England  has.  In  China 
Russia  has  secured  almost  everything  she  needs,  and  she  has  an 
invitation  to  ask  for  anything  further  she  may  require. 

All  that  is  now  needed  for  the  accomplishment  of  Russia's 
great  plans  is  her  commercial  base — Constantinople.  The  trans- 
Siberian  railway  will  soon  be  open.  The  lines  toward  Northern 
India  can  be  pushed.  Demand  can  be  created  for  enormous 
supplies  of  manufactures  from  Germany  and  France.  Greece 
has  started  the  game;  Russia  coming  to  Turkey  to  protect  it,  can 
Egyptianize  Asia  Minor  after  the  English  plan  in  Egypt.  She 
will  not  have  begun  the  war,  but  will  have  taken  advantage  of  it. 
Behind  the  Grecian  hand  may  be  Russia's,  though  the  Russian 
voice  is  for  peace.  There  may  be  another  point  in  Greece's  lead. 
The  country  to  which  Russia  has  least  to  offer  is  Austria.  All 
that  has  permitted  Turkey  in  Europe  to  stand  has  been  the 
question  of  a division  of  her  territory  and  a possible  reorganiza- 
tion of  the  Balkan  States  that  have  from  time  to  time  broken  off 
from  Turkey.  Russia  would  be  glad  to  have  Greece  get  her  share 
— old  Grecian  States — by  advance  claims.  Better  for  Russia  that 
as  much  as  possible  of  the  territory  south  of  the  Balkans  should 
go  to  Greece  rather  than  to  Austria.  Nor  can  Austria  alone  en- 
force any  other  result.  Germany  will  not  help  her.  The  Drei- 
bund  has  long  been  a rope  of  sand. 

While  Russia  has  done  the  loudest  and  most  emphatic  talking 
against  the  move  that  Greece  has  made,  yet  it  may  be  to  cover  a 
design  that  falls  so  wholly  to  Russia's  hand.  Once  the  war  comes 
new  lines  can  be  formed.  Greece  can  hold  her  own,  meantime  ; 
and  with  the  war  opened  the  apparent  concert  of  the  Powers  will 
■ end.  Russia  will  find  the  Grecian  war  torch  as  good  as  another, 
so  it  lights  Russia's  way  to  Constantinople. 

W.  F.  Mason  McCarty. 


CHEAP  TRANSPORTATION  IN  THE  UNITED 
STATES. 


BY  J.  A.  LATCHA,  M.  AM.  SOC.  C.  E. 


Cheap  transportation  for  the  commerce  of  the  world  is  one 
of  the  most  important  problems  of  the  age.  That  nation  which 
reduces  to  the  lowest  figure  the  cost  of  transferring  the  immense 
tonnage  of  modern  commerce  from  point  to  point,  whether  for 
inland  delivery  or  for  foreign  shipment,  all  other  things  being 
equal,  will  dominate  the  commercial  world.  The  history  of  the 
United  States  for  the  past  thirty  years  demonstrates  the  correct- 
ness of  this  statement.  Our  marvellous  growth  in  population 
and  wealth  primarily  was  dependent  upon  the  creation  of  our 
great  railroad  system.  Should  that  system  suddenly  be  removed 
from  the  face  of  the  earth,  calamity  to  the  entire  world  would  be 
so  prompt  and  complete  as  to  appall  ns  in  its  contemplation. 
If  these  facts  are  conceded,  it  must  be  clear  that  a revival 
of  profitable  business  in  the  United  States,  with  accom- 
panying prosperity,  can  alone  be  assured  by  improve- 
ments upon  that  railroad  system  which  will  enable  us  to 
transport  our  traffic  at  constantly  diminishing  cost.  This 
ought  to  be  self-evident,  yet  some  of  our  most  eminent 
engineers  and  able  business  men  assert  that  the  indus- 
trial and  commercial  prosperity  of  the  United  States  absolutely 
demands  the  construction  of  ship  canals  in  various  portions  of 
our  country.  The  writer,  many  years  ago,  became  convinced 
that  the  era  of  canals  for  general  traffic  purposes  has  long  since 
passed.  In  arriving  at  that  conclusion  it  was  had  in  mind  that, 
as  usual  in  matters  of  importance,  exceptions  prove  the  rule. 
That  the  Suez  uanal  is  a great  and,  to-day,  a prosperous  public 
thoroughfare  none  can  deny.  It  must  be  remembered,  however, 
that  from  the  dawn  of  history  the  stream  of  commerce  has  trav- 


*/B 


^'rZe- 

o 

CHEAP  TRANSPORTATION  IN  THE  UNITED  STATES.  593 

ersed  the  territory  wherein  lies  the  Suez  Canal.  A pregnant 
question,  however,  is  what  would  be  the  effect  upon  the  use  and 
value  of  that  canal  should  Russia  wrest  India  and  other  Asiatic 
dependencies  of  Great  Britain  from  that  Empire  ? The  com- 
merce of  the  Orient  in  that  case  certainly  would  not  traverse  that 
J canal,  but  would  be  diverted  largely  by  Russia  through  Siberia  to 
^ Europe.  Another  exception  is  the  Sault  Ste.  Marie  Canal.  As 
all  know,  that  famous  artificial  waterway  is  practically  less  than 
a dozen  miles  long  and  connects  about  500  miles  of  open  water- 
way on  Lake  Superior  with  1,000  miles  of  lake  navigation  to  the 
St.  Lawrence  River.  When,  however,  it.is  proposed  to  construct 
350  miles  of  continuous  ship  canal  through  New  York  State,  a 
vastly  different  proposition  is  before  capitalists  and  commercial 
men. 

It  is  not  intended,  however,  at  this  time  to  consider  in  detail 
the  ship  canal  problem.  The  needlessness  of  that,  it  is  believed, 
will  be  made  apparent  by  discussing  the  transportation  question 
from  another  standpoint.  It  will  be  advisable,  however,  to  note 
that  the  latest  attempts  at  creating  great  ship  canals  for  commer- 
cial purposes  have  been  notorious  failures,  financially  and  com- 
mercially. The  Manchester  Canal  and  the  Baltic  Canal  in 
Germany  demonstrate  this  fact.  The  German  government  has 
established  a scale  of  tolls  for  the  use  of  the  Baltic  Canal  for 
commercial  purposes,  varying  from  fifteen  cents  to  twenty-five 
cents  per  ton,  the  average  toll  being  about  twenty  cents.  As  the 
Baltic  Canal  is  but  sixty-one  miles  long,  the  average  charge  on 
that  waterway  for  tolls  alone  is  mills  per  ton  per  mile.  It 
is  desired  that  this  fact  shall  be  kept  clearly  in  mind  by  the 
reader.  It  must  be  evident,  should  a ship  canal  be  built  con- 
necting New  York  City  with  Buffalo,  it  would  cost  enormously, 
and  whether  that  canal  be  free  or  be  operated  on  the  basis  of  a 
toll,  the  interest  charge  on  cost  of  that  waterway  must  ulti- 
mately be  paid  by  the  people.  Under  the  mosi  favorable  circum- 
stances a ship  canal  through  New  York  State  cannot  cost  less 
than  $500,000,000,  involving  an  interest  charge  of  at  least 
$12,000,000  to  $15,000,000  annually,  exclusive  of  all  charges  to 
be  met  by  the  people  in  opening  and  maintaining  a deep  water 
channel  through  Lake  and  River  St.  Clair,  and  also  the  enor- 
mous expenditures  necessary  to  deepen  and  maintain  channels 
and  dockage  at  all  the  lake  harbors. 

VOL.  clxiv. — NO.  486.  38 


5286" 


594 


THE  NORTH  AMERICAN  REVIEW. 


While  the  tonnage  traversing  our  great  lakes  is  enormous,  and 
there  is  no  wish  to  underestimate  its  importance  to  our  nation, 
none  familiar  with  the  facts  will  for  a moment  deny  that 
to-day  the  commerce  carried  on  our  great  railroad  system 
vastly  surpasses  the  water  traffic  in  volume  and  value.  None 
will  deny  that  our  waterways  started  in  the  race  for  devel- 
opment greatly  in  the  lead,  and  if  they  have  fallen  behind  in  the 
struggle  it  must  be  due  to  the  fact  that  transportation  by  rail  is 
the  method  which,  does,  and  will  increasingly  meet  modern  ne- 
cessities. 

The  writer  believes  transportation  by  railroad  is  the  essential 
and  only  way  for  the  people  of  the  United  States  to  meet  the 
modern  commercial  competition  of  the  nations  of  the  world  ; he 
believes  that  traffic  can  be  carried  from  Chicago  to  New  York 
Harbor  by  railroad  at  less  cost  during  twelve  months  of  the  year 
than  it  can  be  by  the  largest,  most  effective,  and  cheapest  ship 
canal  that  ever  can  be  built ; he  believes  the  commercial  salva. 
tion  of  the  people  of  the  United  States  depends  more  largely  upon 
the  perfection  of  such  a railroad  thoroughfare  than  upon  any 
other  public  measure  ; he  believes  such  a thoroughfare  can  be 
created  by  the  united  efforts  of  the  Trunk  Line  railroads,  or  if 
they  will  not  act,  that  other  measures  can  assure  the  construction 
of  such  a railroad.  An  attempt  will  be  made  to  demonstrate  the 
soundness  of  these  views. 

It  is  well  known  the  competition  of  India,  of  Australia,  of 
Argentina,  and,  especially  of  Russia,  which,  within  the  past  three 
years,  has  been  building  railroads  at  a tremendous  pace  to  de- 
liver its  wheat  at  seaports,  is  destroying  our  grain  export  busi- 
ness, which  for  a generation  secured  the  gold  with  which  to  pay 
our  trade  balances.  The  loss  of  this  business,  in  addition  to  the 
shrinkage  of  cereal  values,  has  bankrupted  many  of  our  greatest 
railroads  within  the  past  six  years,  with  resultant  destruction, 
not  only  of  more  than  $500,000,000  of  railroad  values,  but  with 
even  greater  depreciation  of  private  property  dependent  for  its 
value  on  the  prosperity  of  our  great  transportation  system. 

If  we  are  to  change  the  present  commercial  conditions  in  the 
United  States,  we  must  act  immediately.  We  must  perfect 
facilities  enabling  us  to  undersell  all  other  agricultural  nations  in 
the  markets  of  Europe.  We  can  do  this  quickly  and  relatively 
for  a trifling  expense,  by  the  improvement  of  our  old  east  and 


CHEAP  TRANSPORTATION  IN  THE  UNITED  STATES.  595 


west  railroads,  thus  enabling  them  > to  carry  at  a profit  wheat, 
corn,  and  meats  at  such  low  cost  that  exports  of  grain  and  other 
agricultural  products  can  be  made  at  New  York  Harbor,  thus 
controlling  the  food  markets  of  the  world  and  insuring  the  return 
imports  of  general  merchandise  from  Europe  to  New  York  and 
thence  to  the  far  West.  If  we  cannot  do  this  and  promptly,  we 
will  in  a few  years  have  further  financial  collapse  regardless  of 
what  may  be  our  currency  or  our  tariff. 

The  prime  requisites  for  accomplishing  improvement  in  our 
industrial,  commercial,  and  financial  condition  are,  first,  that 
traffic,  and  especially  grain,  must  be  carried  by  the  shortest  and 
most  economical  route  possible  from  Chicago  and  St.  Louis  to 
New  York  City  and  thence  to  manufacturing  Europe  ; second, 
that  traffic  must  traverse  the  heart  of  the  great  manufacturing 
regions  of  Ohio  and  Pennsylvania,  insuring  the  bread  stuffs  for 
our  laborers  in  the  iron  and  coal  fields  at  the  lowest  cost  possible, 
and  must  be  carried  upon  the  best  and  cheapest  thoroughfare  for 
the  distribution  East  and  West  of  the  products  of  the  coal  and 
iron  regions ; third,  the  railroad  of  to-day  must  be  built  with 
continuously  low  grade  and  light  curvature  ; fourth,  coal  for 
motive  power  must  be  secured  at  proper  and  suitable  intervals 
along  the  line  of  such  railroad.  The  importance  of  the  fourth 
condition  is  not  generally  appreciated.  This  will  be  made  clear 
later. 

The  Pennsylvania  Railroad,  main  line,  is  operated  at  a total 
cost  of  about  3^  mills  per  ton  per  mile*  ; the  Philadelphia  and 
Erie  Division  of  the  railroad  is  operated  at  a cost  of  about  3^. 
It  is  especially  desired  it  be  noted  that  this  cost  is  practi- 
cally the  same  as  the  charge  for  tolls  alone  (viz.,  mills)  on 
the  great  German  Canal.  The  main  line  of  the  Pennsylvania 
Railroad  has  a grade  of  83  feet  per  mile  crossing  the  mountains 
westward,  and  a grade  of  52^  feet  per  mile  eastbound.  That 
railroad  also  has  ten-degree  curvature  on  its  main  line.  It  has 
fuel  on  or  near  its  main  line  from  Pittsburg  to  Altoona,  but 
from  Altoona  to  New  York  it  must  haul  its  fuel  long  distances 
for  its  motive  power.  The  Philadelphia  & Erie  Railroad  has  light 
grades  from  Sunbury  to  near  Driftwood;  thence  for  168  miles  to 
Erie  it  continuously  crosses  heavy  divides  involving  a succession 

* The  figures  throughout  this  article  represent  cost  per  ton  per  mile,  unless  other- 
wise indicated. 


596 


THE  NORTH  AMERICAN  REVIEW. 


of  grades  varying  from  52^  to  70  feet  per  mile  both  east  and 
west.  From  Emporium  to  Erie,  coal  for  motive  power  is  secured 
very  near  to  or  along  the  track.  To  this  latter  fact  largely  is  due 
the  economy  of  operation  on  that  division  of  the  Pennsylvania 
Railroad. 

Upon  the  completion  of  the  New  York,  Chicago  & St. 
Louis  Railway  about  fourteen  years  ago,  it  was  found  it  was  oper- 
ated at  a cost  per  ton  per  mile  less  than  any  other  railroad  in 
the  world  except  the  Pennsylvania  Railroad.  It  was  quite  evi- 
dent these  results  were  largely  due  to  the  straight  line  and  low 
grades  secured  on  that  railroad.  That  the  importance  of  these 
physical  characteristics  may  be  appreciated,  a description  of  the 
alignment  and  gradients  will  be  given.  From  Buffalo  to  Dunkirk, 
a distance  of  about  42  miles,  the  gradients  are  52^  feet  per  mile 
both  east  and  west.  From  Dunkirk  to  Fort  Wayne,  a distance  of 
about  329  miles,  the  gradients  are  21  feet  per  mile  eastbound 
and  31  feet  westbound.  These  grades  are  maintained  through 
the  cities  of  Erie,  Cleveland,  and  Fort  Wayne.  The  gradients  on 
the  splendid  property  of  the  Pittsburg,  Fort  Wayne  & Chi- 
cago Railway  west  of  Fort  Wayne,  a distance  of  about  150  miles, 
were  35  feet  eastbound  and  45  feet  westbound  when  the  New 
York,  Chicago  & St.  Louis  Railway  was  built,  hence  the  same 
gradients  were  adopted  on  the  new  railway  west  of  Fort  Wayne. 
The  maximum  curvature  adopted  on  the  N.  Y.  C.  & St.  L.  Ry. 
was  five  degrees.  The  curvature  from  Buffalo  to  Chicago  is  five 
per  cent,  and  from  Dunkirk  to  Chicago  it  is  only  four  per  cent. 
There  are  several  tangents  over  sixty  miles  long  and  several  thirty 
miles  in  length. 

The  fuel  for  motive  power  on  the  New  York,  Chicago  & St. 
Louis  Railway  is  hauled  from  mines  to  point  of  consumption  an 
average  distance  of  about  200  miles.  With  these  physical 
characteristics  this  road  was  operated  for  ten  years  for  an  average 
cost  of  about  4.15  mills,  and  to  day  is  operated  for  about  4.10 
mills.  It  is  possible,  for  the  sum  of  $400,000  to  cut  down  the 
gradients  on  that  railway  from  Chicago  to  Fort  Wayne  to  21 
feet  per  mile  eastbound  and  to  31  feet  westbound,  which  would 
largely  reduce  cost  of  operation  on  that  portion  of  that  railway. 

It  is  well  known  that  while  the  New  York,  Chicago  & St. 
Louis  Railway  has  complete  organization  of  station  facilities  and 
service  from  Bellevue  to  Buffalo,  yet  it  is  restricted  rigorously  in 


CHEAP  TRANSPORTATION  IN  THE  UNITED  STATES.  597 


securing  local  freight  and  passenger  business  over  two-thirds  of 
its  distance  that  it  may  not  interfere  with  the  local  earning  ca- 
pacity of  the  Lake  Shore  Railway,  which  controls  the  former  road. 
The  necessity  of  giving  these  details  will  be  apparent  later. 

Shortly  after  the  completion  of  the  New  York,  Chicago  & 
St.  Louis  Railway,  the  Lake  Shore  Railway  management  learned 
of  the  advantages  accruing  from  the  continuously  low  grades  of 
the  former  road,  and  began  the  systematic  reduction  of  grades  on 
the  older  road.  Hundreds  of  thousands  of  dollars  have  been 
expended  on  the  Lake  Shore  Railway  cutting  down  grades  from 
Chicago  to  Berea  to  17^  feet  per  mile  eastbound,  and  35  feet 
per  mile  westbound.  From  Berea  to  Cleveland  the  grades  east 
are  light,  but  are  52^  feet  per  mile  westbound.  From  Cleve- 
land to  Collingwood  the  grades  are  35  feet  per  mile  east  and  light 
between  these  points  westbound,  Within  the  past  year  (1896), 
the  grades  have  been  cut  down  from  Collingwood  to  Buffalo  from 
35  feet  to  17.,50  feet  per  mile  east,  but  remain  at  35  feet  per  mile 
westbound. 

Pay  tonnage  on  our  Trunk  Lines  is  generally  at  the  rate  of 
three  tons  east  to  two  tons  west.  The  gradients,  therefore,  on 
the  Lake  Shore  Railway  are  not,  as  yet,  well  balanced.  The 
motive  power  which  can  haul  loaded  and  empty  cars  west  over 
35-foot  grades  could  haul  the  same  number  of  loaded  cars  east 
over  a 25-foot  grade.  To  balance  the  17^  foot  grades  east,  the 
westbound  maximum  should  not  exceed  25  feet  per  mile,  instead 
of  35  feet,  as  on  the  Lake  Shore  Railway.  These  facts  are  noted 
because  the  Lake'Shore  Railway  is  the  best-operated  railroad  in 
the  world,  perhaps,  excepting  alone  the  Pennsylvania  Railroad. 

It  will  be  very  difficult,  if  not  impossible,  ever  to  reduce  the 
gradients  for  several  miles  east  and  west  of  Cleveland.  The 
resulting  excessive  cost  of  operation  through  Cleveland  on  that 
admirably  managed  railway  must  always  prove  a serious  detriment 
to  that  property. 

The  fuel  for  motive  power  on  the  Lake  Shore  Railway  is 
procured  from  the  same  sources  as  by  the  N.  Y.  C.  & St.  L. 
Railway.  With  the  physical  characteristics  just  described,  the 
Lake  Shore  Railway  was  operated  for  ten  years  at  an  average 
cost  of  4^  mills  and  is  to-day  operated  for  about  4jW  mills. 

The  importance  of  the  careful  analysis  of  the  physical 
characteristics  of  the  model  Lake  Shore  Railway  must  be 


598  THE  NORTH  AMERICAN  REVIEW . 

apparent  when  methods  for  improving  the  operation  of  onr  rail- 
ways are  discussed. 

The  New  York  Central  Railroad  has  relatively  very  light 
grades  except  through  Albany,  yet  its  fuel  is  necessarily  hauled 
an  average  distance  of  about  250  miles,  resulting  in  its  cost  of 
operation  being  about  5/^  mills.  The  Erie  Railroad  has  light 
grades  over  much  of  its  line,  but  it  is  seriously  handicapped  by 
the  excessively  heavy  grades  on  its  main  line  from  Marion  to 
Hornellsville,  and  also  is  compelled  to  haul  its  fuel  great  dis- 
tances. These  serious  disadvantages  cause  the  cost  of  operation 
on  the  Erie  Railroad  to  be  excessive,  and  many  of  the  defects 
mentioned  never  can  be  remedied.  The  Baltimore  & Ohio  Rail- 
road labors  under  even  more  serious  disadvantages  than  any  of  the 
Trunk  Lines,  with  resultant  financial  disasters  to  that  great  prop- 
erty. 

The  maximum  grade  from  Chicago  to  Cleveland,  to  Akron, 
or  to  Massillon  on  any  of  the  Trunk  Lines  need  not  exceed  20 
feet  east  and  30  feet  west.  These  grades  could  be  secured  for 
relatively  trifling  expenditures  and  would  enable  those  railroads 
to  transport  low-priced  commodities  like  grain  at  a cost  much 
less  than  at  present.  To  insure  the  best  thoroughfare  possible 
for  cheap  transportation  by  railroad  from  Chicago  to  New  York 
City,  a railroad  should  be  perfected  either  from  Cleveland,  Akron, 
or  Massillon  to  Tamanend  via  Wampum,  Butler,  Punxsutawney, 
Philipsburg,  Lock  Haven,  Williamsport,  and  Rupert.  That 
route  should  be  perfected  by  the  joint  action  of  the  Trunk  Line 
Railroads  and  should  be  operated  for  the  joint  account  of  all  those 
great  companies.  They  should  be  vested  by  national  legisla- 
tion with  just  and  equitable  powers  and  rights  to  perfect  and  oper- 
ate such  a public  thoroughfare,  embracing  among  other  essential 
reforms  the  legalizing  of  pooling  of  railroad  traffic  under  the  con- 
trol of  the  Interstate  Commerce  Commission  or  other  State 
agency.  Such  action  is  absolutely  essential  for  the  commercial 
and  industrial  welfare  of  the  United  States,  owing  to  the  bitter 
commercial  competition  of  the  nations  of  the  world  against 
America. 

If  such  a railroad  were  perfected  as  suggested,  its  physical 
characteristics  wouid  be  as  follows:  From  Chicago  to  Massillon, 
360  miles,  the  maximum  grades  would  be  20  feet  east  and  30  feet 
west ; from  Massillon  the  grades  would  be  30  feet  east  and  40 


CHEAP  TRANSPORTATION  IN  THE  UNITED  STATES.  599 


feet  west  for  118  miles  to  Butler ; from  Butler  to  Milesburg,  a 
distance  of  about  122  miles,  the  maximum  grade  east  would  be 
45  feet  and  52 ^ feet  west,  thus  crossing  the  mountains  with 
grades  much  less  both  east  and  west  than  those  on  the  main  line 
of  the  Pennsylvania  Railroad ; the  maximum  grade  east  would 
be  35  feet  and  45  feet  west  from  Milesburg  to  Tamanend,  a dis- 
tance of  about  120  miles.  From  Tamanend  to  New  York  the 
grades  east  would  not  exceed  35  feet  and  45  feet  west  via  either 
the  Lehigh  Valley  Railroad  or  by  the  Central  Railroad  of  New 
Jersey.  Good  connections  also  could  be  made  to  New  York 
via  the  Lackawanna,  the  Reading  and  the  Pennsylvania  rail- 
roads. 

Bituminous  coal  for  fuel  could  be  secured  on  the  proposed 
railroad  at  Massillon,  at  Butler,  at  Punxsutawney,  at  Philips- 
burg,  and  near  Snow  Shoe,  as  well  as  at  several  intermediate 
points.  That  railroad  would  pass  through  the  heart  of  the  an- 
thracite coal  regions  of  Eastern  Pennsylvania,  insuring  fuel  for 
motive  power  on  much  more  advantageous  terms  than  does  any 
existing  Trunk  Line  railroad.  A railroad  could  be  perfected 
through  the  territory  described,  and  of  the  characteristics  named, 
which  would  not  exceed  850  miles  in  length  between  Chicago  and 
New  York  city,  and  which  could  be  operated  at  a cost  less  per 
ton  per  mile  than  can  any  existing  railroad  in  the  world.  A few 
details  will  demonstrate  the  correctness  of  this  statement. 

As  has  been  stated,  the  New  York,  Chicago  & St.  Louis 
Railway  is  operated  at  a cost  of  4^  mills.  Should  a railroad 
be  perfected  from  Chicago  to  Massillon  with  20  feet  grades  east 
and  30  feet  grades  west,  instead  of  35  feet  east  and  45  feet  west, 
as  now  exist  on  the  New  York,  Chicago  & St.  Louis  Railway 
west  of  Fort  Wayne  for  152  miles,  and  should  that  railroad  be 
free  to  make  every  effort  to  secure  all  freight,  both  local  and 
through,  it  possibly  could,  it  certainly  conld  be  operated  at  a cost 
not  exceeding  3160°0  mills  between  Chicago  and  a point  100  miles 
west  of  Massillon,  to  which  point  coal  for  motive  power  could  be 
hauled  economically  from  the  latter  city.  If  the  Philadelphia  & 
Erie  Railroad  can  be  operated  over  grades  existing  on  that  line 
for  3130°0  mills,  the  proposed  railroad,  with  coal  on  its  line  at  con- 
venient points  from  Massillon  to  the  Lehigh  River,  and  with 
grades  only  20  feet  east  from  a point  100  miles  west  of  Massillon 
and  with  grades  only  30  feet  east  of  Massillon  to  Butler 


600 


THE  NORTH  AMERICAN  REVIEW . 


and  with  maximum  grade  of  only  45  feet  east  across  the 
mountains  to  Milesburg,  and  with  maximum  grade  of  only  35 
feet  east  from  Milesburg  to  New  York  city,  must  be  operated 
for  2150°0  mills,  and  the  total  average  cost  of  operation  would  not 
exceed  2^%  mills. 

For  the  purpose  of  demonstrating  the  soundness  of  these  con- 
clusions, it  will  be  assumed  that  an  entirely  new  railroad  is  built 
from  Chicago  to  New  York,  a distance  of  850  miles.  All  freight 
cars  on  a railroad  as  proposed  should  have  a maximum  capacity 
of  60,000  pounds.  They  should  be  equipped  with  safety  couplers, 
air-brakes,  etc.  But  while  the  cars  should  have  a capacity  of 
60,000  pounds,  the  average  pay  load  will  be  estimated  at  the 
extremely  low  figure  of  15  tons  per  car.  To  insure  the  most  sys- 
tematic and  economical  results,  the  proposed  railroad  should  be 
operated  in  three  divisions  of  120  miles  each  from  Chicago  to 
Massillon,  a total  distance  of  360  miles.  Over  these  divisions 
sixty  loaded  cars  could  be  hauled  with  one  engine  and  crew,  the 
grades  being  20  feet  eastbound  and  30  feet  west.  From  Massillon 
to  Butler,  a distance  of  118  miles,  forty-five  loaded  cars  could  be 
hauled  east  by  the  standard  engine  over  30-feet  grades.  From 
Butler  to  Milesburg,  122  miles,  two  standard  engines  could  haul 
sixty  loaded  cars  with  one  train  crew,  the  maximum  grades  being 
45  feet  east  and  52^  feet  west.  From  Milesburg  to  New  York, 
a distance  of  250  miles,  the  line  should  be  operated  in  two  divi- 
sions, and  a standard  engine  and  one  crew  could  haul  forty  loaded 
cars  east  over  35-feet  grades.  The  average  trainload,  therefore, 
eastbound  would  be  fifty-two  loaded  cars  of  fifteen  tons  pay  load 
each,  or  a total  load  of  780  tons. 

With  the  low  grades  arranged  in  divisions  as  described  and 
with  fuel  over  two-thirds  the  distance,  the  motive  power  depart- 
ment, with  full  trains  moving  continuously  from  Chicago  to  New 
York,  unquestionably  could  be  operated  for  not  to  exceed  12 
cents  per  train  mile.  But  the  cost  for  motive  power  will  be  taken 
at  the  average  cost  of  14  cents  per  train  mile.  The  motive  power 
expenses  on  each  through  train,  on  the  850  miles,  for  engineers, 
firemen,  oil,  waste,  repairs,  etc.,  at  14  cents  per  train  mile,  and 
including  the  extra  engine  on  the  summit  division,  would  be  the 
sum  of  $136.  The  railroad  as  described  would  be  operated  in 
seven  divisions.  Through  express  freight  trains  moving  con- 
tinuously night  and  day  would  average  at  least  20  miles  per  hour. 


CHEAP  TRANSPORTATION  IN  THE  UNITED  STATES.  601 

Each  train  would  cost  on  each  division  for  trainmen  and  for  train 
supplies  not  to  exceed  $15,  or  a total  for  the  seven  divisions,  the 
sum  of  $105  for  the  through  run.  With  an  average  of  52  cars  on 
each  train  the  cost  for  repairs,  renewals,  and  interest  on  cars,  etc., 
would  not  exceed  $75  for  each  through  train.  The  cost  for 
maintenance  of  way  and  structures  for  each  train  of  52  cars 
would  not  exceed  $105.  The  cost  for  expenses  of  terminal  and 
intermediate  yards,  etc.,  for  each  through  train  would  not  ex- 
ceed $100.  The  general  expenses  of  all  kinds,  including  train 
dispatching,  would  not  exceed  $75  per  train.  The  total  average 
cost,  therefore,  for  each  through  train  of  52  cars  loaded  with 
grain  from  Chicago  to  New  York  would  be  as  follows  : 

Motive  Power  Department $136 

( Trainmen  and  train  expenses $105 

Conducting  transportation  •<  Maintenance  of  cars  and  interest 75 

( Yard  and  terminal  expenses 100 

$280 

Maintenance  of  way  and  structures 105 

General  expense,  including  dispatching 75 

Total  expenses  for  one  through  train  of  52  cars $596 

This  estimate  is  based,  not  on  any  local  business,  but  exclu- 
sively on  through  tonnage.  The  expenses  for  local  business 
would  be  covered  by  higher  rates  as  explained  later. 

The  average  charge  for  carrying  wheat  on  existing  railroads 
from  Chicago  to  New  York  City,  for  several  years,  has  been 
about  twelve  cents  per  bushel.  If  a single-track  railroad  with 
ample  passing  tracks  were  completed  through  the  territory 
named  and  upon  the  basis  outlined,  it  could  carry  agri- 
cultural products  from  Chicago  to  New  York  Harbor  at 
a cost  not  exceeding  one  and  one-quarter  mills,  and  at  that 
charge,  which  would  be  practically  three  cents  per  bushel, 
we  could  undersell  all  other  agricultural  nations  on  earth.  That 
a railroad  as  described  could  carry  traffic  on  the  basis  named  will 
be  made  clear  by  a few  details  deduced  from  the  facts  just 
stated.  If  a train,  averaging  52  cars,  each  carrying  fifteen  tons 
of  wheat,  were  hauled  from  Chicago  to  New  York,  and  if  the 
charge  on  that  grain  were  one  and  one-quarter  mills,  the  charge 
per  car  for  the  850  miles  would  be  $15.94  and  for  the  average 
train  load  of  52  cars  the  total  charge  would  be  $828,88.  The 
total  cost  of  transportation  for  one  through  train  of  52  cars  would 
be  $596,  and  the  net  earnings  on  each  through  train  loaded  with 
grain  would  be  $232.88,  or  28  per  cent. 


602 


THE  NORTH  AMERICAN  REVIEW. 


The  merchandise  tonnage,  westbound,  would  average  about 
two  to  three  tons  of  food  products  eastbound.  The  train  west, 
therefore,  would  average  about  thirty-four  cars  loaded  with 
eighteen  empty.  If  the  rate  west  on  low-priced  tonnage  were 
fixed  at  the  charge  of  two  and  a half  mills,  that  traffic  would  pay 
satisfactorily.  The  earnings  on  each  loaded  car  at  two  and  a half 
mills  would  be  about  $30.  On  the  thirty-four  loaded  cars  the 
gross  earnings  would  be  $1,020,  The  cost  for  transporting  the 
fifty-two  cars  west,  including  the  eighteen  empty  cars,  would  be 
somewhat  less  than  the  cost  eastbound.  The  difference,  how- 
ever, will  not  be  noted  in  the  estimate,  but  the  same  cost  for 
transportation,  viz.,  $596,  will  be  adopted  for  the  west  haul. 
The  gross  earnings  on  thirty-four  loaded  cars  west,  as  stated, 
would  be  $1,020  ; operating  expenses,  $596 ; net,  $424,  or  about 
43  per  cent.  High-class  goods,  such  as  silks,  wines,  etc.,  should 
bear  a charge,  on  through  trains,  of  from  six  to  eight  mills.  Local 
business  should  bear  a charge  of  from  three  to  four  mills,  and  all 
classes  of  tonnage  should  be  carried  at  an  average  charge  of 
mills,  as  heretofore  stated.  Such  results  would  be  assured  on  a 
short,  low-grade  railroad,  with  fuel  distributed  on  its  line,  as 
herein  described.  It  is  in  this  direction  we  must  seek  such 
economy  on  our  commerce  as  will  enable  us  to  survive  as  a 
nation  against  the  competition  of  the  world. 

It  is  worse  than  useless  to  talk  to-day  of  ship  canals  as  factors 
in  the  struggle  before  us.  The  cost  for  carrying  wheat  from 
Chicago  to  Hew  York  via  the  Lakes,  transferring  from  vessels  to 
canal  at  Buffalo,  thence  by  canal  and  Hudson  Kiver  to  New 
York,  including  interest,  insurance,  etc.,  varies  from  five  to  six 
cents  per  bushel.  This  cost,  however,  it  is  essential  to  note,  does 
not  include  expenditures  of  the  United  States  government,  nor 
of  the  State  of  New  York,  for  construction,  repairs,  and  opera- 
tion of  canals  and  public  works  necessary  for  keeping  open  chan- 
nels and  harbors,  and  it  is  this  latter  fact  which  renders  it  need- 
less to  hope  for  any  practical  decrease  in  cost  of  transportation  by 
ship  canals.  A few  details  will  make  this  clear. 

The  most  enthusiastic  ship  canal  advocate  cannot  claim  that 
wheat  and  corn  can  be  carried  from  Chicago  to  New  York  by 
canal  at  an  actual  cost  of  less  than  two  and  a half  cents  per  bushel, 
including  insurance,  etc.  If  a ship  canal  be  built  through  New 
York  State  with  a depth  of  twenty-five  feet  of  water,  all  harbors 


CHEAP  TRANSPORTATION  IN  THE  UNITED  STATES . 603 


and  channels  on  the  Great  Lakes  must  be  provided  with  the 
same  depth  of  water.  The  interest  charge  on  the  enormous  ex- 
penditures necessary  to  open  and  maintain  such  a waterway  and 
harbors  would  aggregate,  in  addition  to  actual  cost  ofj transporta- 
tion, not  less  than  two  and  a half  cents  per  bushel  on  grain,  and 
a pro  rata  charge  on  all  other  tonnage  traversing  that  route.  The 
actual  cost,  therefore,  on  each  bushel  of  grain,  including  trans- 
portation and  interest  on  governmental  expenditures,  would  be 
five  cents  and  that  cost  must  be  met  by  the  nation  whether  di- 
rectly by  a toll  or  indirectly  by  the  interest  paid  by  the  govern- 
ment, and  the  waterway  would  be  open  only  nine  months  an- 
nually. 

By  joint  action,  existing  Trunk  Line  railroads  can  perfect 
such  a railroad  thoroughfare  as  herein  described  at  the  trifling 
cost  of  $7,000,000.  If  they  will  not  do  this  an  entirely  new  single- 
track  railroad  can  be  perfected  from  New  York  to  Chicago  for  $25,- 
000,000,  and  that  railroad  can  be  completed  in  eighteen  months.  A 
ship  canal  cannot  be  built  through  NewYork  State  in  less  than  five 
years  and  at  a cost  of  $500,000,000.  In  less  than  five  years  Russia 
can  and  will  fatally  cripple  us  commercially,  for  it  must  be  ap- 
parent to  those  who  observe  the  activity  of  that  great  power  that 
our  future  commercial  opponent  is  that  Tartar  Empire.  We  re- 
ceive no  profits  whatever  from  Russia.  The  growth  of  that  em- 
pire is  directly  in  lines  antagonistic  to  the  United  States.  From 
the  profits  made  from  the  products  of  our  virgin  soil,  during  the 
last  twenty-five  years,  we  accumulated  capital  which  made^ re- 
sumption of  specie  payments  possible,  and  enabled  us  to  create 
our  vast  manufacturing  plants.  Russia  is  following  the  same 
policy  that  made  us  rich  and  powerful.  British  capital  is  crowd- 
ing into  Russia  and  Siberia,  as  it  did  for  three  decades  past  into 
the  United  States.  The  Cossack  Giant  is  struggling  for  strength 
and  growth,  and  will  strangle  us  commercially  if  we  do  not  awaken 
from  our  lethargy  and  face  the  danger  threatening  us. 

We  must  make  no  mistake  as  to  the  actual  industrial  and 
financial  situation  in  the  United  States.  The  decided  shrinkage 
of  values  in  this  country  began  ten  years  ago,  and  has  been  pre- 
cipitate during  the  past  five  years.  The  hard  times  and  uni- 
versal discontent  caused  the  voters  four  years  ago  to  rush  to  the 
Democratic  party  for  relief.  The  result  of  that  election  was 
construed  to  mean  that  the  people  demanded  Free  Trade,  when 


604 


THE  NORTH  AMERICAN  REVIEW. 


actually  what  was  demanded  was  better  times.  These  did  not 
ensue,  and  the  pendulum  swept  with  more  terrific  force  to  the 
Republican  party,  and  we  construed  that  to  mean  a demand  for 
Protection.  It  is  of  vital  importance  we  read  the  signs  of  the 
times  aright. 

We  had  a balance  of  trade  in  our  favor  at  the  close  of 
1896  greater  than  ever  before  in  our  history.  Yet  business 
prostration  notoriously  never  has  been  more  complete  than 
during  the  year  past,  and  is  now  almost  as  serious  as  at 
any  previous  time.  Prices  of  all  grain  and  farm  products, 
except  wheat,  never  have  been  less.  A mercantile  house  with  a 
million  dollars  capital  at  the  opening  of  the  year  may  do  ten 
millions  of  business  and  at  the  close  of  the  year  its  invoices  may 
show  a capital  of  $900,000.  That  is  precisely  the  situation  of 
the  United  States.  Our  vast  business  with  the  world  during 
1896  was  conducted  at  a loss.  Had  it  not  been  for  the  misfort- 
unes of  all  the  wheat-producing  nations  of  the  earth,  other  than 
the  United  States,  we  would  have  financial  wrecks  from  one  end 
of  the  land  to  the  other.  Even  as  it  is,  bankruptcies  are  and  have 
been  appalling,  and  all  financial  and  commercial  interests  are  in 
most  serious  straits. 

If  wheat  in  Liverpool  shall  average  the  price  governing  dur- 
ing the  two  years  prior  to  1896,  a permanent  reduction  of  eight 
or  nine  cents  per  bushel  on  cost  of  transporting  that  cereal  by 
railroad  from  Chicago  to  New  York  City  would  control  the  grain 
markets  of  Europe.  At  the  average  prices  named,  India,  with 
the  millions  of  British  money  spent  on  irrigating  works  for  devel- 
oping the  wheat  fields  of  that  country  and  expended  in  building 
State  railroads  for  transporting  grain,  cannot  compete  for  the 
wheat  market  of  Europe,  except  at  a loss,  in  three-quarters  of  its 
grain-producing  territory.  Argentina  lost  money  in  1895  on  all 
wheat  exported,  except  from  areas  having  access  to  ocean  naviga- 
tion. Australia  was  in  worse  condition  than  Argentina.  All 
know  the  people  of  the  United  States  for  several  years  have  not 
made  any  profits  on  cereals,  and  should  the  price  of  wheat,  which 
is  now  phenomenally  high,  owing  to  the  crop  failures  throughout 
the  world,  suddenly  crash  to  the  price  of  a year  ago,  as  it  unques- 
tionably will  with  good  crops  in  all  wheat-raising  countries,  the 
agrarian  movement  against  railroads  in  the  United  States  will 
startle  the  financial  world.  The  so-called  Granger  War  of  a dozen 


CHEAP  TRANSPORTATION  IN  THE  UNITED  STATES.  605 


years  ago  covered  only  the  trans-Mississippi  regions.  The  storm 
centre  of  the  coming  war  will  be  Michigan,  radiating  thence  to 
all  the  Middle  Western  States,  with  the  Populists  and  Iconoclasts 
of  the  far  West  the  most  savage  destroyers  of  accumulated  wealth. 
The  shrinkage  of  values  in  America  to  the  level  of  those  of 
Europe  is  as  inevitable  and  resistless  as  the  movements  of  the 
tides.  But  with  wise  and  timely  action  we  can,  in  a great  meas- 
ure, meet  and  render  harmless  that  shrinkage. 

If  we  carry  wheat  at  three  cents  per  bushel  from  Chicago  to 
New  York,  we  can  place  100,000,000  bushels  in  Europe  in  excess 
of  what  we  do  to-day.  That  grain  would  bring  more  than  $50,- 
000,000  in  gold  to  us  annually.  We  could  command  the  markets 
of  Europe  for  meats,  representing  corn,  oats,  and  forage  consumed. 
These  would  bring  us  at  least  $50,000,000  additional  gold.  Other 
agricultural  products,  such  as  cotton,  etc.,  would  earn  us  at 
least  $50,000,000  anuually.  If  we  make  such  reforms  in  cost  of 
railroad  transportation,  as  suggested,  we  can  increase  our  exports 
of  machinery  and  steel  products  to  South  America  and  other 
countries  beyond  belief,  enabling  us  to  take  a commanding  posi- 
tion as  a commercial  people  among  the  empires  of  the  world. 

Instead  of  a ship  canal  from  New  York  City  to  Buffalo,  or 
any  other  like  expedient,  it  must  be  manifest  that  our  safety  as 
a nation  lies  in  improving  our  railroad  system  and  especially 
must  we  have  a low  grade  railroad  from  the  far  West  to  the 
Atlantic  seaboard.  Such  a. railroad  would  serve  the  great  North- 
west as  no  ship  canal  could.  With  such  a thoroughfare  in 
operation,  steamers  and  barges  could  carry  grain  and  other  ton- 
nage from  Duluth  to  Cleveland,  where  modern  appliances  should 
he  erected  to  transfer  the  traffic  to  elevators  and  warehouses, 
Bailroads  now  in  operation,  or  a new  one,  could  make  connection 
from  Cleveland,  with  the  low-grade  railroad  to  New  York  City. 
Then  would  cheap  transportion  in  connection  with  the  Great 
Lakes  be  possible  and  at  a nominal  cost  for  construction. 

The  lowest  cost  of  carrying  grain  from  Duluth  to  Buffalo  is 
about  IjVo  cents  per  bushel.  The  average  cost  at  Buffalo,  with 
antiquated  facilities  for  elevating,  storing,  and  trimming  grain 
transferred  to  canal-boats,  is  l^®,  cents  per  bushel.  Modern  ap- 
pliances at  Cleveland  would  insure  the  transfer  of  grain  from 
vessels  to  cars  for  less  than  one  cent  per  bushel,  but  that  cost 
will  be  adopted  for  the  purpose  of  comparison.  The  grain  rate 


606 


THE  NORTH  AMERICAN  REVIEW. 


from  Duluth  to  Cleveland  can  be  made  1^Q  cents  per  bushel 
against  cents  to  Buffalo.  Grain  can  be  hauled  from  Cleve- 
land to  New  York  for  two  cents  per  bushel  on  the  railroad  de- 
scribed, as  against  three  cents  from  Chicago  to  New  York.  The 
total  cost  per  bushel  for  transportation,  transferring,  etc.,  from 
Duluth  via  Cleveland  to  New  York  would  be  4130°0  cents.  No 
ship  canal  can  carry  traffic  between  these  points  for  that  sum. 
Indeed,  it  would  be  much  more,  including  actual  cost  of  trans- 
portation and^ro  rata  of  government  expenditures,  for  opening 
and  maintaining  a waterway  as  herein  explained.  The  route  pro- 
posed via  Cleveland  would  place  Duluth  and  the  Great  Northwest 
directly  in  communication  with  the  iron,  coal,  and  coke  business 
of  Ohio  and  Pennsylvania,  which  would  be  of  infinitely  more 
value  to  that  territory  than  would  be  any  advantages  accruing 
from  the  creation  of  any  ship  canal  devised  by  the  genius  of 
man. 

As  the  managers  of  our  great  railroad  system  had  practical 
illustration  of  the  tremendous  results  accruing  from  the  perfec- 
tion of  such  a low-grade  railroad  as  herein  described,  they  would 
make  every  effort  systematically  to  reduce  the  grades  on  their 
main  lines,  thus  reducing  the  cost  of  operation,  with  far-reaching 
and  advantageous  results  to  the  commerce  of  the  nation. 

Two  illustrations  will  be  given  of  what  could  be  done  in  this 
direction. 

The  great  Southern  Railway  system  reaches  almost  every  por- 
tion of  the  South  from  Washington  and  Norfolk.  That  system 
has  in  all  over  4,500  miles  of  railroad.  Its  mainline  from  Wash- 
ington to  Birmingham  is  800  miles  long.  That  corporation  rep- 
resents over  $150,000,000  cash  value  of  railroad  property.  The 
main  line  of  that  railroad  is  the  aggregation  of  several  railroads 
built  at  an  early  day,  without  regard  to  systematic  adjustment 
of  gradients  or  alignment.  With  the  comparatively  insignificant 
sum  of  $4,000,000  the  800  miles  of  main  line  could  be  so  im- 
proved by  cutting  down  grades  at  various  points  that  heavy  trains 
could  be  hauled  continuously  over  its  entire  length,  insuring 
a reduction  of  at  least  twenty-five  per  cent,  in  operating  ex- 
penses. There  is  not  another  great  railroad  system  in  this  coun- 
try where  so  small  an  outlay  would  result  in  such  enormous  sav- 
ings in  cost  of  operation,  with  accompanying  prosperity  alike  to 
the  entire  cotton  regions  and  to  the  Southern  Railway  Company. 


CHEAP  TRANSPORTATION  IN  THE  UNITED  STATES.  607 


The  Central  Pacific  Railway  is  the  key  to  the  development  of 
the  vast  Central  West  and  of  the  Pacific  slope.  That  railroad 
crosses  the  Sierra  Nevada  Mountains,  theoretically  with  a 116- 
foot  grade  against  the  eastbound  tonnage  from  California,  but 
the  grade  actually  for  several  miles  is  125  feet  per  mile.  East  of 
the  Sierras  that  railroad  is  physically  in  condition  to  be  operated 
at  remarkably  low  cost  except  for  a short  distance  near  the 
eastern  terminus.  That  railroad  represents  an  investment, 
National  and  private,  including  principal  and  interest,  of  over 
$100,000,000.  With  an  expenditure  of  only  $8,000,000  that 
railroad  could  cross  the  great  Sierra  barrier  to  commerce  with  a 
maximum  grade  of  only  75  feet  per  mile,  and  also  could  greatly 
reduce  the  grades  immediately  west  of  Ogden.  That  expenditure 
of  $8,000,000  would  radically  reduce  the  cost  of  operation  for 
trainmen,  for  motive  power  and  for  permanent  way  on  that  rail- 
road. Other  vitally  important  changes  in  administering  that 
potent  agency  for  serving  the  people  should  be  instituted, which, 
in  addition  to  the  cutting  down  of  the  grades,  would  reduce  the 
cost  of  operating  the  Central  Pacific  Railway  fully  thirty-three 
per  cent.  This  statement  is  not  lightly  made.  A year  or  more 
has  been  spent  by  the  writer  in  California  and  in  other  far  West- 
ern States  studying  this  important  problem,  and  it  is  certain  these 
results  can  be  assured  on  that  railroad.  The  effects  such  im- 
provements on  the  Central  Pacific  Railway  would  have  on  trans- 
continental commerce  must  be  obvious  to  all.  Not  only  Cali- 
fornia, Nevada,  Utah,  and  other  Western  States  would  be  rehabili- 
tated financially,  industrially,  and  commercially  by  action  in  the 
direction  named,  but,  what  does  not  appear  to  be  understood  and 
appreciated,  not  a section  of  the  United  States  from  Maine  to  the 
Gulf  would  fail  to  feel  the  tingle  of  reviving  circulation  through 
the  arteries  of  trade. 

It  will  require  no  argument  to  convince  capitalists  who  had 
money  invested  in  the  great  railroad  system  west  of  Chicago  and 
St.  Louis  that  had  they,  five  years  ago,  perfected  a railroad 
thoroughfare  from  Chicago  to  New  York  City,  upon  which 
grain  could  have  been  carried  for  three  cents  a bushel  and  other 
agricultural  products  at  a pro  rata  cost,  the  $500,000,000  of 
capital  wiped  out  by  reorganizations  of  bankrupt  roads  could 
have  been  saved  from  destruction.  The  Trunk  Line  Railroads, 
by  united  action,  could  have  done  that  five  years  ago  for  an  ex- 


608 


THE  NORTH  AMERICAN  REVIEW. 


penditure  of  $7,000,000.  They  can  to-day,  for  that  sum,  pre- 
vent the  further  shrinkage,  within  five  or  six  years,  not  only 
of  railroad  but  of  all  values,  which  will  amount  to  more  than 
$1,000,000,000  unless  immediate  action  be  taken  in  the  direction 
suggested.  Shall  we  have  the  foresight  to  see  what  is  impend- 
ing, or  must  we  learn  by  lapse  of  time  that  values  are  shrinking 
throughout  the  world  and  the  destruction  of  accrued  wealth 
sweeping  over  the  earth  can  only  be  averted  in  America  by  im- 
proved appliances  for  carrying  commerce  ? 

From  what  is  herein  presented  for  consideration,  the  conclu- 
sion must  be  irresistible  that  the  phenomenal  growth  of 
the  United  States  in  population  and  wealth  has  been  made 
possible  solely  by  the  creation  of  our  great  railroad  system, 
and  especially  is  this  true  of  the  empire  west  of  the  Mississippi 
River.  Without  that  railroad  system  our  70,000,000  of  people 
would  not  exist.  Without  that  system  in  healthful  and  vigorous 
activity  we  will  cease  to  be  a prosperous,  powerful,  and  contented 
people. 

The  nations  of  the  world — Christian  and  Pagan — are  ceaseless 
in  effort  to  secure  supremacy  in  commerce,  wealth,  and  power. 
It  is  time  w7e  devote  our  energies  to  enlightened  effort  to  develop 
and  strengthen  the  railroad  arteries  of  our  country.  Thus 
can  we  best  defend  our  common  interests  against  the  commercial 
aggressions  of  Europe  and  of  Asia. 


J.  A.  Latcha. 


